Caleb Warnock - DAILY HERALD | Posted: Friday, November 21, 2008 11:00 pm
Keeping a careful eye on its budget, Eagle Mountain says it is working to strike a fiscal balance despite tightening revenues.
Unlike some cities, Eagle Mountain has no plans to lay off employees, said city manager John Hendrickson. The city has, however, issued a hiring freeze and has been trimming budgets where possible.
"We are cautious and very thoughtful about where we need people," he said.
For the second year in a row, the city has received a national award for its budget, a far cry from the days when the state used to warn that the city was out of compliance with financial laws.
The thing that has most benefited the city's $40 million budget was successfully challenging the census, which allowed the city to get more tax revenue based on the city's population, he said.
"Now we are getting what Eagle Mountain should have been getting," he said, noting the census had essentially underestimated the city's population by half.
The city has also trimmed operating costs by putting off equipment purchases, for example, in order to match falling revenue from building permits and fees, he said.
"Nickels add up to be dollars," he said.
Because the city cannot afford to hire more staff, existing staff have gotten creative, said Ifo Pili, assistant city administrator, and Gordon Burt, finance director.
Because the city cannot afford a full-time fleet manager, computer service expert or grants writer, committees made up of staff from many departments have been formed to take on those tasks, he said.
"Because we have been one of the fastest growing cities in Utah, we have always worn two or three hats" as a city staff, Pili said, noting this kind of synergy brings varying perspectives to the table when looking for solutions.
For years, the city has been conservative when projecting revenue and liberal when projecting expenses, he said. That has helped keep the budget balanced.